Morning Call

June 19, 2024

Yesterday, FIBRAMQ raised its non-binding offer for TERRA through a certificate exchange. The new exchange ratio is 1.125 FIBRAMQ certificates for each TERRA certificate, up from the previous 1.05 ratio, entailing an implicit price of P$33.84 (-9.3% below yesterday’s closing price). Additionally, FIBRAMQ announced a reduction in the management fee of 25 basis points per year for market capitalization levels above US$2.0 billion.

 

  • In 1Q24, Mexico’s aggregate supply rose by 1.5% QOQ, boosted by imports (+4.1%) and GDP (+0.3%). Aggregate demand also posted an overall positive behavior, driven by private consumption (+1.5%), gross fixed investment (+0.8%), and public spending (+0.3%), as exports remained flat compared to the previous quarter.

 

  • The U.S. government temporarily suspended avocado imports from Michoacan, Mexico, due to safety concerns after a violent incident with USDA inspectors.

 

  • According to a Mercado Libre executive, Mercado Pago’s POS terminals in Mexico have more than doubled in the last year, reaching four million. In addition, Mercado Pago has granted one million loans to SMEs and plans to double that number in 2024.

 

  • Winning candidate Claudia Sheinbaum will meet with lawmakers to discuss the judicial reform plans, including the replacement of the current Supreme Court and the election of justices.